The pros and cons to outsourcing your HR functions

Outsourcing your HR can benefit your company tremendously, but like any project, there may be some concerns that linger before you come to a decision.  Some common concerns are: “Is there a chance of misplaced loyalty?” Or “Will we lose control over their company if we outsource?” Or, “Will we be charged with hidden fees?”

How can we eliminate these concerns?

It can be hard to put full trust into an outsider coming into your organisation to make some major changes. There may be some concerns that similar efforts may not go into a job, like the efforts of your full-time employee. Your outsourcing providers’ main priority should be to maintain a strong relationship and loyalty with you. Not only will this bring them continued business, increased reliability and a solid reputation, but it will give you confidence in your choice of vendor. Always make sure to do your due diligence when shortlisting your outsourcing clients. As a best practice, you should thoroughly research HR outsourcing providers and especially look for specific case studies and testimonials from previous and current clients. As a decision maker, this gives you the ability to dig deeper into the experience and customer service that the clients received.

Losing a little bit of control to your outsourcing provider isn’t a negative thing when you are implementing an organisational change. Trust that you decided to commission the right organisation to partner with. Have good faith that they are industry leaders in HR Outsourcing and are also exceptionally good at what they do; as a business owner or manager, this should free up your time to focus on the success and profitability of the organisation. You should let the professionals do what they are good at; also, you must maintain open communication lines throughout the progression of your project plan.

To avoid paying more than you’ve bargained for is simple. Go through the contract with a fine-tooth comb; avoid settling for the first draft of the contract; with your provider, go back and forth as many times as needed to ensure that the contract suits your organisational needs and goals long term. Review the cost of the project and all details noted in the service. Avoid any complications down the road - it’s up to you to go through any contract in its entirety.